Have you evaluated the performance of Avnet's (AVT) international operations for the quarter ending March 2025? Given the extensive global presence of this distributor of electronic components, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors no ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 29, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _____ Commission File #1-4224 AVNET, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction (IRS Employer of in ...

Avnet (AVT) reported third-quarter fiscal 2025 earnings of 84 cents per share, beating the Zacks Consensus Estimate by 16.7%. The bottom line, however, declined 23.6% on a year-over-year basis.Net sales were $5.32 billion, which surpassed the Zacks Consensus Estimate by 0.46%. The figure, however, decreased 6% from the year-ago quarter.The company experienced declining sales across all its segments, reflecting broader market pressure. The margins were also pressured due to margin contraction across both the ...

Avnet (AVT) Q3 2025 Earnings Call April 30, 2025 12:00 PM ET Company Participants Joe Burke - VP - Investor RelationsPhil Gallagher - CEO & Member of Board of DirectorsKen Jacobson - CFO Conference Call Participants Joe Quatrochi - Director & Equity Research AnalystWilliam Stein - Managing Director/Senior Research Analyst - TechnologyWamsi Mohan - Senior Equity Research Analyst Operator Greetings and welcome to the Avnet Third Quarter Fiscal Year twenty twenty five Earnings Conference Call. At this time, pa ...

Financial Data and Key Metrics Changes - The company achieved sales of $5.3 billion for Q3 FY2025, which is down 6% year-over-year and sequentially, but near the high end of guidance [4][14] - Adjusted EPS was $0.84, exceeding guidance, and cash flow from operations was $141 million for the quarter [4][20] - Gross margin for the quarter was 11.1%, down 78 basis points year-over-year but up 54 basis points sequentially [15] Business Line Data and Key Metrics Changes - Electronic Components sales declined 6% year-over-year and 7% sequentially, while Farnell sales decreased 10% year-over-year but increased 6% sequentially [14][15] - Farnell's operating margin improved to 3%, up approximately 200 basis points quarter-over-quarter, reflecting better sales and gross margin [19] Market Data and Key Metrics Changes - Sales in Asia increased 13% year-over-year, marking the third consecutive quarter of growth, while EMEA sales declined 24% and The Americas declined 9% year-over-year [14][15] - The industrial end market in EMEA saw slight growth, while other verticals experienced declines [7] Company Strategy and Development Direction - The company is focused on optimizing inventory composition and reducing core inventory levels where necessary [6] - The management emphasized the importance of leveraging existing customer and supplier relationships to drive growth, encapsulated in the "Power of One" strategy [11][19] - The company is actively adjusting processes to mitigate the impact of tariffs on customers and financials [12][26] Management's Comments on Operating Environment and Future Outlook - Management noted that the current environment is one of the most challenging seen in over 40 years, with complex supply chains and geopolitical uncertainties [13] - The company expects to generate positive operating cash flows in the next quarter and remains committed to balancing debt paydown with shareholder returns [22][26] Other Important Information - The company reported a gross leverage of 3.2 times and had approximately $1.2 billion of available committed borrowing capacity [22] - Book value per share increased to approximately $56, primarily due to changes in foreign currency exchange rates [23] Q&A Session Summary Question: Understanding revenue guidance for June - Management explained that the guidance reflects a cautious approach, particularly due to weak performance in Europe, with expected growth primarily from Asia [28][30] Question: Inventory expectations - Management indicated that while they aim to reduce inventory, it is strategically important and not uniformly high across all SKUs [48][52] Question: Tariff impacts on order patterns - Management noted minimal changes in order patterns due to tariffs, with only modest pull-ins observed [59][62] Question: Visibility into AI-driven components - The company has some visibility into AI-related components, particularly in Asia, but it represents a small portion of overall business [74][76]

Avnet (AVT) reported $5.32 billion in revenue for the quarter ended March 2025, representing a year-over-year decline of 6%. EPS of $0.84 for the same period compares to $1.10 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $5.29 billion, representing a surprise of +0.46%. The company delivered an EPS surprise of +16.67%, with the consensus EPS estimate being $0.72.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they com ...

Core Insights - Avnet reported quarterly earnings of $0.84 per share, exceeding the Zacks Consensus Estimate of $0.72 per share, but down from $1.10 per share a year ago, indicating a 23.64% year-over-year decline [1] - The company achieved revenues of $5.32 billion for the quarter, surpassing the Zacks Consensus Estimate by 0.46%, but down from $5.65 billion year-over-year, reflecting a 5.86% decrease [2] - Avnet has outperformed the S&P 500 year-to-date, with a decline of 2.1% compared to the S&P 500's decline of 5.5% [3] Earnings Performance - The company has surpassed consensus EPS estimates three times over the last four quarters [2] - The earnings surprise for the latest quarter was 16.67%, while the previous quarter saw a slight miss with an actual earnings of $0.87 against an expectation of $0.88, resulting in a surprise of -1.14% [1][2] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.91, with expected revenues of $5.46 billion, and for the current fiscal year, the EPS estimate is $3.41 on revenues of $22.02 billion [7] - The estimate revisions trend for Avnet is mixed, leading to a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6] Industry Context - The Electronics - Parts Distribution industry, to which Avnet belongs, is currently ranked in the top 36% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Avnet Third Quarter Fiscal Year 2025 Financial Results This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the financial condition, results of operations, and business of the Company. You can find many of these statements by looking for words like "believes," "projected", "plans," "expects," "anticipates," "should," "will," "may," "estimates," or simi ...

Financial Performance - Third quarter sales were $5.3 billion, a decrease of 6.0% year-over-year from $5.7 billion[4] - Diluted earnings per share (EPS) increased to $1.01, up 4.1% from $0.97 in the prior year quarter[4] - Adjusted diluted EPS was $0.84, down 23.6% from $1.10 in the prior year quarter[4] - Operating income margin was 2.7%, compared to 3.4% in the prior year quarter, reflecting a decrease of 66 basis points[4] - Net income for the nine months ended March 29, 2025, was $234,128 thousand, down from $416,033 thousand for the same period in 2024, representing a decrease of 43.7%[18] - GAAP diluted earnings per share for the nine months ended March 29, 2025, was $2.65, compared to $0.66 for the same period in 2024, showing a substantial increase[25] - Adjusted net income for the nine months ended March 29, 2025, was $231,260 thousand, compared to $81,804 thousand for the same period in 2024, reflecting a significant rise[25] - GAAP operating income for the fiscal year 2024 is $844,367,000, with adjusted operating income at $900,047,000[26] - The company reported a GAAP net income of $498,699,000 for the fiscal year 2024, with adjusted net income at $489,979,000[26] Cash Flow and Assets - Generated $141 million in cash flow from operations during the quarter[4] - Cash and cash equivalents decreased by $122,029 thousand, ending at $188,912 thousand[18] - Net cash flows provided by operating activities increased to $585,028 thousand from $415,730 thousand year-over-year, an increase of 40.7%[18] - Total assets decreased from $12,209,147 thousand to $11,712,330 thousand, a decline of approximately 4.1%[16] - Total current liabilities decreased from $4,465,269 thousand to $4,014,382 thousand, a reduction of approximately 10.1%[16] - Total liabilities decreased from $7,283,643 thousand to $6,827,363 thousand, a decline of approximately 6.2%[16] Sales Performance - Sales in Asia increased by 13.0% year-over-year, marking the third consecutive quarter of sales growth in the region[4] - Sales for Avnet in the third quarter of fiscal 2025 decreased by 6.0% year-over-year, with a constant currency change of -4.9%[28] - The Americas region experienced a 9.2% decline in sales year-over-year, while Asia saw a 13.0% decrease[28] - For the fourth quarter of fiscal 2024, Avnet's sales totaled $23,757.1 million, with operating income of $844.4 million[30] - Electronic Components sales for Avnet reached $15,523.6 million for the first nine months of fiscal 2025, with operating income of $551.2 million[29] Guidance and Projections - The guidance for the fourth quarter of fiscal 2025 projects sales between $5.15 billion and $5.45 billion, with a midpoint of $5.30 billion[6] - Adjusted diluted EPS guidance for the fourth quarter is between $0.65 and $0.75, with a midpoint of $0.70[6] - The company plans to maintain a similar interest expense to the third quarter and expects an adjusted effective tax rate between 21% and 25%[8] - Guidance for the fourth quarter of fiscal 2025 includes expected GAAP diluted earnings per share, with reconciliation provided for non-GAAP adjusted figures[31] - GAAP diluted earnings per share guidance ranges from $0.47 to $0.66[32] - Restructuring, integration, and other expenses (net of tax) are expected to be between $(0.18) and $(0.09)[32] Other Financial Metrics - The company reported a foreign currency loss of $16,820 thousand for the quarter ended March 29, 2025[25] - The company reported a foreign currency gain of $27,730,000 in the fiscal year 2024[26] - The company incurred restructuring, integration, and other expenses totaling $52,550,000 in the fiscal year 2024[26] - Adjusted diluted earnings per share for the fiscal year 2024 is $5.34, compared to GAAP diluted earnings per share of $5.43[26]

Company Overview - Avnet (AVT) shares increased by 11.8% to close at $46.41, following a broader market rally after US President Donald Trump's announcement to pause reciprocal tariffs for 90 days, although a baseline tariff of 10% on imports remains in effect [1] - The company is expected to report quarterly earnings of $0.72 per share, reflecting a year-over-year decline of 34.6%, with revenues projected at $5.29 billion, down 6.4% from the previous year [2] - The consensus EPS estimate for Avnet has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] Industry Context - Avnet operates within the Zacks Electronics - Parts Distribution industry, where another company, Wesco International (WCC), saw a 15.8% increase in its stock price, closing at $153.86, despite a -16% return over the past month [3] - Wesco International's consensus EPS estimate for its upcoming report is $2.23, which is a 3% decrease from the previous year, and it also holds a Zacks Rank of 3 (Hold) [4]